BSC in Accounting – A Balanced Scorecard (BSC) is a performance metric used in accounting to identify and improve internal functions and their resulting external outcomes.
It was first introduced by accounting academic Dr. Robert Kaplan and business executive and theorist Dr. David Norton, and published in the Harvard Business Review in 1992.
The BSC allows companies to pool information in a single report, providing information on service and quality in addition to financial performance, and helping to improve efficiencies.
Read: Masters in Accounting: What It Is, Why You Should Get One, and Top Universities to Consider
Importance of BSC in Accounting
The BSC is crucial for businesses as it helps them gather important information, such as objectives, measurements, initiatives, and goals, resulting from the four primary functions of a business. Companies can easily identify factors that hinder business performance and outline strategic changes.
BSCs were originally meant for-profit companies but were later adapted for nonprofit organizations as well.
They are designed to measure the intellectual capital of a company, such as training, skills, knowledge, and any other proprietary information that gives it a competitive advantage in the market.
BSC in Accounting Education
A Bachelor of Science in Accounting (BSA) is a degree that focuses on a general business education alongside core math requirements, such as calculus and statistics. It prepares students to analyze financial data and advise businesses and individuals to help them achieve their financial goals. The BSA program typically takes between four and five years to earn, depending on the school’s requirements.
BSC in Accounting Careers
Graduates with a BSA degree can pursue various career paths, including working in public accounting, private industry, or government accounting.
They can qualify for placement in graduate or professional schools to prepare for the Certified Public Accountant (CPA) licensure.
The BSA degree also combines the study of business management, economics, and courses that provide analytical and quantitative skills, preparing students for a graduate degree in accounting or a Master of Business Administration (MBA).
Conclusion
A Balanced Scorecard (BSC) is an essential tool in accounting that helps businesses identify and improve their internal functions and external outcomes.
It provides a comprehensive view of a company’s performance, allowing for strategic planning and decision-making.
A Bachelor of Science in Accounting (BSA) degree is the key to unlocking career opportunities in the field of accounting, with the BSC serving as a valuable tool for professionals in the industry.
